2010 November |

Q&A with FedEx Express COO Michael L. Ducker

Josh Green | November 16, 2010

Today, a special treat…  Q&A with FedEx’s Michael L. Ducker.  Michael is chief operating officer for FedEx Express and president of its International Division.  Many thanks to Michael for his time and his thoughtful perspective on the challenges facing global trade professionals.  Note that there’s much more after the break.

Q: While executives often think about FedEx when they need to send documents around the world, they may not think of FedEx when it’s time to send goods around the world. Can you describe the types of services that FedEx provides to companies engaged in global trade?

MD: Documents are really just a small part of what we do. FedEx is the world’s largest express transportation company, and our global air-and-ground network delivers 3.5 million packages and 111 million pounds of freight every day to over 220 countries and territories.

FedEx has invested heavily over the years to build a portfolio to meet long-haul inter-continental, short-haul cross border and domestic inter-regional shipping needs. This allows our customers to tailor shipping solutions to their specific needs through time-sensitive and cost-effective solutions.

Consumers are familiar with our document and small-parcel shipping, but it’s worth pointing out some of the solutions we’ve adapted for specific market sectors, such as automotive, healthcare, industrial machinery and high-tech, among others.

Take healthcare, for example. The FedEx Healthcare Industry Solutions offer secure, reliable, temperature-controlled delivery for health-related products, including pharmaceuticals, which involve time sensitive, real-time visibility, and accurate documentation.

The apparel industry is another area where we offer targeted solutions. Our supply chain solutions support customers’ needs and assist in product flow between suppliers, manufacturers and stores. Speed to market is essential in this market, and FedEx helps provide a level of connectivity and access to the global marketplace that ensures business success. For instance, FedEx helped Brazilian swimsuit designer Fabiola Molina increase sales 230% in one year thanks to the reliability and speed of the network.

Or take critical freight. FedEx Custom Critical recently donated resources to rescue 25,000 sea turtle eggs by relocating them from the Gulf Coast to the Florida’s Atlantic Coast to avoid the loss of the year’s cohort because of the oil spill. They deployed vehicles specially equipped with features like satellite tracking, self-inflating tires, temperature control, and backup power, to move the eggs safely to their new home.

Q: Global trade fell precipitously during the Great Recession, but has since bounced back. Looking ahead, are you optimistic or pessimistic about the trajectory of global trade? Why?

(more…)

What Will Be Under The Tree in 2010? Buzz and Woody, Again.

Josh Green | November 15, 2010

With the holiday season nearing, we took a look at a variety of toys — both new and old — to see which ones retailers are betting on.  It looks like there’s no clear winner among the rookies:

However, there is a clear winner among the veterans:

Interestingly, Toy Story has more shipments than the three rookie front-runners — combined.  To be fair, Toy Story is not a typical veteran — it benefited from the release of Toy Story 3 this year.  But it seems clear that retailers are placing big bets on an oldie-but-goodie.

On a related note, check out shipments that included the word “toys” (below).  Up 24% from August to October, versus the same period in 2009.

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October Trade Data: Modest Decline

Josh Green | November 11, 2010

The word from the Panjiva research team: we saw a modest decline in global trade activity in October.  Specifically, there was a 2% decrease in the number of global manufacturers shipping to the U.S. market, as well as a 2% decrease in the number of U.S. companies receiving waterborne shipments from global manufacturers.


  • The number of waterborne shipments coming into the U.S. experienced a 2% month-over-month decrease from September to October.  In contrast, there was a 3% September-to-October increase in 2009, and a 1% increase in 2008.
  • The percentage of significant manufacturers on the Panjiva Watch List ticked up from 16% to 17%.
  • The percentage of significant buyers having done business with a Panjiva Watch List supplier in the preceding three months held steady at 24%.

Methodological notes:

  • Manufacturers that have suffered a 50% or greater decline in volume shipped to American customers in the most recent three month period, versus the same period a year ago, are on the Panjiva Watch List.
  • “Significant manufacturers” are companies that have sent 10 or more shipments to American customers within the last year. As of the end of October, there were 94,805 significant manufacturers.
  • “Significant buyers” are U.S. companies that have received 10 or more shipments from overseas manufacturers within the last year. As of the end of October, there were 81,380 significant buyers.